Tag: ‘capital gains’

Paying Taxes on Capital Gains Early: How Investors are Avoiding Tax Hikes

By :: December 14th, 2012

Normally, at the end of each year, investors sell stock (and other assets) to recognize losses to offset gains recognized earlier in the year. Sometimes they do it the other way around, harvesting gains that can be offset by earlier losses. But this year is different: many investors are recognizing gains, even if they don’t […]

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Can Congress Raise Taxes on the Rich without Raising Their Rates? Maybe

By :: November 15th, 2012

At his press conference yesterday, President Obama said it is nearly impossible to raise taxes on the wealthy (a key piece of his fiscal strategy) without increasing their tax rates. It is, Obama said, a matter of simple arithmetic.   But a look at some very rough numbers suggests that if the president and congressional […]

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The Ten Biggest Differences between the Romney and Obama Tax Plans

By :: October 23rd, 2012

When it comes to taxes, Mitt Romney and Barack Obama are almost perfect mirror images of one another. Here are ten ways their tax plans are different. Romney’s tax agenda is ambitious and opaque. Obama’s is modest but relatively transparent. Obama has shown little interest in broad-based tax reform. Romney wants to fundamentally rewrite the […]

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Marginal Tax Rates Matter More than Average Tax Rates

By :: October 9th, 2012

Each year when I complete my federal income tax return, Turbotax tells me my average tax rate—how much tax I owe measured as a percentage of my total income. But it would be better if I learned my marginal tax rate or MTR—the percentage tax that I would pay on an additional dollar of income. […]

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Understanding TPC's Analysis of Governor Romney's Tax Plan

By :: August 8th, 2012

The Tax Policy Center’s latest research report went viral last week, drawing attention in the presidential campaign and sparking a constructive discussion of the practical challenges of tax reform. Unfortunately, the response has also included some unwarranted inferences from one side and unwarranted vitriol from the other, distracting from the fundamental message of the study: […]

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Five Challenges for the IRS’s New Capital Gains Reporting Rules

By :: May 1st, 2012

Sellers of stocks and other assets have always had to calculate their cost basis (generally, what they paid for the investment) in order to figure their taxable capital gains. In the past, this was often a hit-or-miss experience that required lots of tedious research (occasionally with help from brokers) and more than a bit of […]

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Romney’s Tax Plan Really Does Favor the Rich

By :: January 30th, 2012

Despite evidence to the contrary, there is a lingering view that Mitt Romney’s tax plan would primarily help middle-income households and not favor the rich. Yet TPC’s analysis of the plan clearly showed that high-income households would win big and others would do less well. Poor families would actually lose, relative to the taxes they’re […]

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Rick Santorum’s Tax Plan

By :: January 3rd, 2012

With Rick Santorum surging in Iowa, it is a good time to take a look at his tax agenda. While his revenue plan has received almost no attention, it plays a  major role in his “faith, family and freedom” campaign. His playbook: lower rates for individuals and corporations, substantially cut taxes on capital, and increase the personal […]

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Perry’s Free Lunch Flat Tax

By :: October 25th, 2011

There is lots we still don’t know about GOP presidential hopeful Rick Perry’s tax and budget plan. But I am pretty sure of one thing: The proposal he released today would result in a massive tax cut and, combined with his vow to balance the federal budget by 2020, implies huge reductions in federal spending.  Perry, […]

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The Democrat’s Millionaire Tax: Smart Politics, Awful Policy

By :: October 6th, 2011

Senate Democratic Leader Harry Reid’s plan to fund a $445 billion stimulus, err, jobs bill with a 5.6 percent surtax on millionaires is not all bad. After all, Tax the Rich does make a nice campaign bumper-sticker. But it is mostly bad. Why? Here are five reasons. The idea, endorsed today by President Obama, would […]

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